Oil rises on hopes of easing U.S.-China trade tension

LONDON (Reuters) – Oil prices rose on Monday after the United States and China both suggested they could ease up in a trade war that has undermined the outlook for the global economy and crude demand. Brent was up 90 cents, or 1.53%, at $59.84 a barrel by 1400 GMT, while U.S. oil was up 90 cents, or 1.65%, at $54.88 a barrel. U.S. President Donald Trump said on Monday he believed China was seeking a trade deal after he said Beijing contacted U.S. officials overnight to say it wanted a return to dialogue, adding on Twitter: “talks are continuing!” Chinese Foreign Ministry spokesman Geng Shuang said he had not heard about a phone call between the two sides. China’s top negotiator, Vice Premier Liu He, had earlier said Beijing was willing to solve the impasse through “calm” negotiations and opposed an escalation. Concerns for the global economy have increased as trade tensions between Beijing and Washington mounted in recent days. China’s Commerce Ministry said last week it would impose additional tariffs of 5% or 10% on a total of 5,078 products originating from the United States, including crude oil, agricultural products and small aircraft. In retaliation, Trump said he was ordering U.S. companies to look at ways to close operations in China and make products in the United States. SEB analyst Bjarne Schieldrop said the oil market was worried about “the secondary global growth effects of an upwards spiralling trade war between China and the U.S.” “The second concern for the oil market is that … China is now ready to wrestle with the U.S. in the global space of oil”. Investors were also left guessing about whether interest rates in the United States might be cut soon. U.S. Federal Reserve chair Jerome Powell told a symposium the U.S. economy was in a “favourable place” and the Federal Reserve would “act as appropriate” to keep the economic expansion on track. But concerns about a possible recession were exacerbated by data showing U.S. manufacturing industries registered their first month of contraction in almost a decade. Nick Note: Well hells bells you got the self proclaimed “Chosen one” and Trump told you he is”The Second Coming of GOD” IT WAS NOT A JOKE! Excuse me for not believing in demagogy. FUCK TRUMP! You can make money betting on the fact he will back down every time! AND he is a bully and full of shit! I hope the Secret Service protects him and gets him to Walter Redd medical center for psychological intervention! Please keep him away from him all sharp objects and red buttons! Look at his good friend and party pal.